Report Finds Building a Home Cheaper Than Buying in Oregon and Washington

A new report by StorageCafe has shown that it is more cost-effective to build a home than to buy one in several states, including Oregon and Washington. StorageCafe calculated each state's approximate home-building cost by combining the median cost of a construction contract with the cost of land on median-sized lots, and then adding 10% for other expenses like permits and fees for real estate agents. In Washington, building a home would cost around $493,000, which is $66,000 cheaper than the median single-family home cost of $559,000. Oregon ranked 14th, with an average total building cost of $502,000 and median listing price of $545,000.

The report shows that building a home is also cheaper than buying one in Hawaii, California, Colorado, Utah, and Virginia. On the other hand, there are states where home buying is significantly cheaper than home building, including Pennsylvania, Ohio, Illinois, Maine, and Iowa. 

The study's release follows the publication of another recent report regarding housing attainability in Oregon. Moving company HireAHelper found that people in Portland earning the median wage must work 92 hours a week to afford a median-priced home.

Read more at StorageCafe.com and HireAHelper.com.